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Recognized as a top firm by Chambers Asia Pacific, Covington is highly regarded for its work throughout Asia. The firm represents leading Asian companies on outbound matters and major U.S. and European companies on their Asia-related matters.

From our offices in China and Korea and through close relationships in Japan and elsewhere, our team advises on a variety of challenging cross-border transactional, regulatory, compliance and litigation matters.

$3 billion CNOOC investment in Chesapeake Energy

Represented China National Offshore Oil Corporation Ltd. (CNOOC) in separate investments in the Eagle Ford and Niobrara shale properties held by Chesapeake Energy.

$220 Million Acquisition of Align Aerospace

Represented Align Aerospace in its acquisition by a subsidiary of Aviation Industry Corporation of China (AVIC), the Chinese state-owned aerospace and defense company, in a transaction worth $220 million.

$15 billion acquisition of Nexen by CNOOC

$1.75 billion divestiture of IBM’s personal computers division

Represented IBM in the $1.75 billion sale of its personal computers division to Lenovo.

$2.1 billion acquisition of IBM server business by Lenovo

Represented Lenovo in various matters, including acquisition of x86 server business from IBM for $2.1 billion.

State-Owned Chinese Media Group

Advised a state-owned Chinese media group with respect to an international co-production project to be produced by a leading Hollywood producer.

Successful Representation of Spanish Investors in Yukos Oil Company in Arbitration Against Russia

Represented Spanish investors in Yukos Oil Company in an SCC arbitration against the Russian Federation arising from Russia’s expropriation of the company. The tribunal issued an award in our clients’ favor that valued Yukos at more than $60 billion at the time the company was expropriated.

Successful result for Kyocera Corporation

Representation of Kyocera Corporation, successfully obtaining a summary judgment dismissing over US$150 million in damages claims and then successfully defending that award in a set-aside action in the U.S. federal courts.

BCD Semiconductor Manufacturer Acquisition

Represented BCD Semiconductor Manufacturing Limited in its $151 million acquisition by Diodes, Inc.

China market access

Advised several leading U.S. companies in responding to existing and proposed Chinese trade barriers, including in the areas of intellectual property, technology standards, and competition law, and helped our clients succeed in raising the profile of these issues in U.S. bilateral negotiations with China.

China Investment Corporation’s investment in AES Corp.

China Based Gaming Company in Popular Messenger App Investment

Advised Tencent Holdings Ltd. on its $50 million investment in Ontario-based KIKInteractive, Inc., a messenger application with more than 200 million registered users.

China-Based Gaming Company Corporate Venture Investments

Advised Tencent Holdings Limited in connection with its investment activities relating to public and private companies.

Airline Global Distribution Arrangements in Asia

Represented 7 out of 11 airlines in the Abacus International consortium, in long-term global distribution agreements in connection with the sale of Abacus International (Global Distribution System) to Sabre Corporation.

Antidumping and countervailing duty proceeding for freight railroad company

We represented a freight railroad company in an antidumping and countervailing duty proceeding at the International Trade Commission covering certain intermodal containers from China. We assisted the company in successfully opposing the imposition of antidumping and countervailing duties on the Chinese containers.

American Airlines Passenger Service System Contracts

American Airlines in Technology Services Agreements

Represented American Airlines in a software development and outsourced technology services agreement with HP for a next generation reservation, inventory, and availability system.

Advice on removing discriminatory regulatory barriers

Advised a client in its international efforts to remove discriminatory regulatory barriers threatening to keep its product from the market in South Africa, the EU, India, and elsewhere.

USA Pavilion at the 2010 Shanghai World Expo

Advice regarding sponsorship and financing negotiations for the proposed USA Pavilion at the 2010 Shanghai World Expo.

U.S. regulatory guidance for South Korean airline

The second largest airline in South Korea was under investigation by the U.S. government in connection with a 2014 accident in San Francisco. Our Washington office guided the company’s participation in the National Transportation Safety Board (NTSB) investigation, and successfully mitigated U.S. public relations issues.

UNCITRAL arbitration against Indonesia

Representation of a joint venture of Newmont Mining and Sumitomo in an UNCITRAL arbitration against Indonesia relating to the government’s attempt to terminate rights to copper and gold resources under a Contract of Work.

Two Major Hollywood Studios on Various Feature Films in China

Advise two of the major Hollywood studios on a number of different feature films in China. Film projects for the majors include both studio films intended for wide international release, as well as local Chinese-language productions. Work for the majors also include advice regarding cooperation agreements, development, copyright and IP infringement, and relationships with talent.

World Bank bribery allegations

Investigating allegations of fraud, bribery, and collusion in a contract financed by the World Bank and representing the client before the World Bank Integrity Vice Presidency in anticipation of a potential debarment action.

Village Roadshow Limited (VRL) on Theme Park on Hainan Island

Advised Village Roadshow Limited (VRL) on its destination theme park on Hainan Island, China. The theme park will focus on marine animal attractions, with a similar format to VRL’s Sea World on Australia's Gold Coast, and will also include a Wet ‘n Wild style water park.

Village Roadshow Entertainment Group Asia on Multiple Matters

Wide ranging advice to Village Roadshow Entertainment Group Asia, which has co-produced leading Chinese box office hits such as Stephen Chow’s “Journey to the West.”

Samsung Patent Litigation Disputes

Representation of Samsung Electronics in numerous patent litigation matters in both U.S. District Courts and the U.S. International Trade Commission, involving technologies such as DLP televisions, LED’s, MLC flash memory, printer software, tablets and smartphones.

Season 15 of CBS/Mark Burnett’s “Survivor”

China counsel for Season 15 of CBS/Mark Burnett’s “Survivor” (which was shot entirely in China).

Satellite Provider in Seeking Broader Access to Markets in China, Mexico and Elsewhere

Representation of a satellite provider in seeking broader access to markets in China, Mexico and elsewhere, which allowed us to combine our trade and communications expertise.

Asia data privacy

Advising a global online travel company in relation to the company’s expansion in the Asian markets, including compliance with laws regulating the Internet.

Bank One and JP Morgan Chase

Baidu, Inc. in Media Venture

Representation of Baidu, Inc., China’s leading search engine, with respect to a media venture.

Representation of MTD and its subsidiary in an ICSID arbitration against Chile

Representation of MTD, a Malaysian construction and development company and its subsidiary in an ICSID arbitration against Chile concerning claims for breach of the bilateral investment treaty between Malaysia and Chile, resulting in an award for the claimants that was sustained in annulment proceedings.

Representation of former president of the Asian Football Confederation in FIFA-related arbitration

Representation of Mohamed Bin Hammam, former president of the Asian Football Confederation, in his successful challenge to his FIFA-ordered lifetime ban from football (soccer) before the Court of Arbitration for Sport. Bin Hammam had been banned for alleged vote-buying on the eve of the election for FIFA’s Presidency, in which he was the only challenger to the re-election of Sepp Blatter. In July 2012, the three-judge panel found insufficient evidence and annulled the ban.

Representation of Samsung in European Investigation

Representation of Samsung concerning all aspects of the European investigation into alleged collusion in DRAM.

ICDR arbitration for KNOC

Representation of Korea National Oil Corporation in an ICDR arbitration and ancillary federal court proceedings arising from a US$1.2 billion acquisition of an oil and gas exploration and production company.

Advise Leading Online Company on Global Compliance and Privacy Principles

Representation of a leading online company through advising on instituting global policies and procedures to comply with law enforcement demands for data consistent with best practice privacy principles.

Internal investigation for global company in China

Conducted a large-scale internal investigation of a leading global company’s business practices in China.

Adobe on Media-Related Project

Advise U.S. software company, Adobe, on a media-related project in China.

“Rare Earths” WTO dispute

Advised a sovereign state and other stakeholders regarding a WTO dispute with respect to China’s restrictions on the export of commodities and “rare earth” minerals.

Temasek Holdings acquisitions

Represented Temasek Holdings in various matters, including its investment in Merrill Lynch.

Telehealth IT System Development

Represented a major global pharmaceutical company on negotiating arrangements with multiple suppliers for the development and operation of a complex state-of-the-art telehealth IT system.

Government of Vietnam's maritime boundary dispute with China

Advised the Government of Vietnam regarding its dispute with China over maritime boundaries in the South China Sea.

International assignment for U.S. bank

Advised a New York-headquartered investment bank on an international assignment from the UK to China.

Outbound mergers and acquisitions

Representing a very large Korea multinational company in its acquisition of an IT company located in North America.

Outside Counsel to Independent Producer of Chinese Reality Television Shows

Chief outside counsel to a leading independent producer of Chinese reality television shows, including "Pepsi’s Battle of the Bands" and the "Miss Universe China Reignwood Pageant."

Production Counsel for “The Karate Kid,” “Let the Bullets Fly,” and “The Orphan of Zhao”

Outbound IP Litigation

Representing Samsung Electronics in an IP litigation against Enterprise Systems Technologies and succeeded in persuading the Texas district court judge to stay the entire district court case.

Outbound Investment

Advising Lenovo in securing approval from the Committee on Foreign Investment in the United States on its U.S. $2.3 billion acquisition of IBM's server business.

Market entry

Assisting a major U.S. tech company with an entrance into China, including providing a comprehensive analysis of privacy and data protection issues in connection with that entry.

Manufacturing company SEC enforcement action

Persuaded the U.S. Securities and Exchange Commission not to pursue enforcement action against a leading manufacturing company following an 18-month investigation of business practices in Europe and Asia.

NTSB investigation

Representing Asiana Airlines in a National Transportation Safety Board (NTSB) investigation into the Asiana Airlines Flight 214 accident at San Francisco Airport.

Outbound ICC arbitration

Representing a Korean engineering and construction company in its continuing efforts to recover nearly $400 million, which it won in an ICC arbitration almost 10 years ago, against a Mexico government owned oil & gas company.

Multinational company bribery investigation

Bribery-related investigations and related counseling for a multinational company with operations in Europe and Asia.

Keanu Reeves and Stephan Hamel's Production Company on Project in China

Advised Keanu Reeves and Stephan Hamel’s production company, Company Films, on China projects.

John Lone on Opportunities in China

UBS Commodities Index Services Agreement with Bloomberg

Represented UBS in the negotiation of a new long-term services agreement with Bloomberg for the calculation and administration of commodities indices.

WTO consistency framework for U.S. Chamber of Commerce

Prepared for the U.S. Chamber of Commerce a framework for analyzing WTO consistency of China’s approval process for inbound foreign direct investment.

Wanxiang America acquisition of A123 Systems and related matters

Represented Wanxiang America in separate transactions involving the acquisition of certain assets of A123 Systems, Inc., a lithium ion battery company, and the sale of the Energy Solutions Business of A123 Systems to NEC Corp.

Chemical/manufacturing joint venture

Advising one of the world’s largest specialty chemicals companies regarding its manufacturing joint venture activities in China.

Co-counsel in an ad hoc insurance arbitration

Representation of a Lithuanian petrochemicals company as co-counsel in an ad hoc insurance arbitration against various UK underwriters arising out of property damage and business interruption claims exceeding US$150 million.

Criminal investigations of automotive manufacturers

Represent several Japanese and European manufacturers of automotive parts in investigations of alleged anticompetitive activity.

Celestial Pictures on PRC Regulatory Issues

Advised Celestial Pictures on certain PRC regulatory issues in connection with the formation of Celestial Tiger Entertainment, the joint venture Celestial formed with Lionsgate and the Saban Capital Group in late 2011.

Celestial Pictures on Intellectual Property Issues

Copyright and IP advice to Celestial Pictures, the owner of the Shaw Brothers library, the largest Chinese-language film collection in the world.

China regulatory and compliance

Conducting a compliance risk assessment of the China operations of a global auto parts company, including overseeing forensic transaction review, and interviews of more than 60 employees at facilities in mainland China and Taiwan.

China regulatory and compliance

Conducting internal investigation on behalf of a multinational pharmaceutical company into whistleblower allegations of corruption at its Chinese subsidiary.

China pharma bribery investigation

Representation of a major pharmaceutical company in its response to a Chinese government commercial bribery investigation in China.

China media and entertainment

Providing legal advice to a subsidiary of Legendary Pictures as China production counsel for “Great Wall,” to be directed by Zhang Yimou and possibly the largest budget picture ever to be produced in China.

China media and entertainment

Advising major Hollywood studios on film projects in China.

China life sciences transactional

Advising a leading multinational pharmaceutical company on the acquisition of diabetes drug assets in China and the transfer of related employees from a multinational drug company.

China life sciences transactional

Representing a leading U.S. pharmaceutical company to set up a joint venture in China with a Chinese biotech company to research, develop and commercialize a late-stage clinical product for the Asia market.

China licensing and joint venture

Advising a U.S. biotech company on its sino-foreign joint venture with a Chinese life sciences company to focus on RNAi-based drug discovery, and related license agreement.

China licensing and collaboration

Advising a leading multinational pharmaceutical company on its agreement with a Nasdaq-listed drug manufacturer to develop and market its linaclotide capsule in China.

China Investment Corporation Purchase in AES Corporation

China Investment Corporation (CIC), a large sovereign wealth fund created by the People's Republic of China, on FERC and state (NY) energy regulatory issues with respect to its purchase of a 15% share in the AES Corporation, a large independent power producer of international scope with significant US electricity generation assets. Covington secured all necessary approvals for this transaction.

China Filmed Entertainment in production, financing, and distribution arrangements for films including The Painted Veil, Forbidden Kingdom, and Crazy Stone; and Season 15 of CBS/Mark Burnett’s Survivor (shot entirely in China).

ROCKWOOL Group Trademark Infringement Litigation

Representation of Danish company ROCKWOOL Group in trademark infringement litigation in China involving its claim to the “ROCKWOOL” trademark and trade name.

China Device Regulatory and Clinical Trial Advice

Advise large device company on regulatory requirements for clinical trials of medical devices in China.

China Biopharmaceutical Regulatory and Legal Strategy

Counseling leading multinational biopharmaceutical company in doing business in China, including setting and executing on the regulatory and legal strategies for engaging in drug R&D, manufacturing, and sales and marketing.

China Medical Device Acquisition Due Diligence

Conducting due diligence on China device regulatory matters for a large multinational device company’s acquisition of a large Chinese device company.

Expatriate dismissal in Asia

Advised a NYSE-listed corporation in relation to a Singaporean/UK expatriate dismissal.

Favorable ICC award for New Skies

Representation of New Skies in an ICC arbitration awarding relief of more than US$150 million to our client for a defective communications satellite.

Entertainment and Media Start-Up Companies in China

Advise start-ups such as producers of original Web content and digital music services.

Cyrte Investments on Investment in Co-production with Chinese Studio

Advised private equity firm Cyrte Investments on a major investment in a co-production with a Chinese studio.

Enforcing arbitration awards

A Korean infrastructure company has asked us for assistance in recovering a substantial arbitral award in Mexico, which the Mexican government is challenging.

Employment aspects of global joint venture

Advised a Japanese technology client on the international employment, pensions and incentives aspects arising on the formation of a joint venture with operations in the US, Asia and Europe.

Alkermes Global Pharmaceutical Portfolio

Managing the worldwide patent portfolios of Alkermes companies relating to sustained-release pharmaceutical formulations in products such as VIVITROL®, RISPERDAL® CONSTA®, and BYDUREON®. We obtained pivotal patents in Canada, China, Europe, Japan, and the United States covering the BYDUREON product, a sustained-release formulation indicated for the treatment of Type 2 diabetes.

China National Tire & Rubber Co. Transactions

Representation of China National Tire & Rubber Co., in its $7.7 billion acquisition of Pirelli.

Communications and Media Joint Ventures

Counseling for joint ventures for a variety of clients in media and communications, including cable channel ventures, joint ventures for video programming and content, and satellite, wireless, and broadcast joint ventures.

Qualcomm/CSR Transaction

Representation of Qualcomm in connection with its acquisition of CSR plc, with filings in China, Germany, Japan, Korea and Taiwan.

Sanofi/Verily Life Sciences Transaction

Representation of Sanofi in connection with obtaining clearances from the European Commission and in China, Korea, Switzerland, Taiwan, Turkey and Ukraine for its collaboration with Google Life Sciences, Inc., now Verily, relating to diabetes management products and services.

AstraZeneca Transactions

Representation of AstraZeneca in relation to the creation of a $3.4 billion diabetes joint venture with BMS, and the subsequent acquisition of sole control over that venture; in its acquisition of the rights to Almirall’s respiratory franchise (for initial consideration of $875 million and up to $1.22 billion in development, launch and sales-related milestones); assisting in the acquisition of the Takeda respiratory portfolio; and in relation to the creation of an oncology joint venture with Fujifilm Kyowa Kirin Biologics (FKB).

Strategic Alliance and Outsourcing

Representation of a company in the fintech sector in a complex strategic alliance and outsourcing transaction to create an innovative post-financial trade processing and technology service for large banks in Europe and Asia.

Trial Win in Civil Forfeiture Case For Car Exporters Who Had to Prove Their Innocence

Following a seven-day jury trial in the Southern District of New York, our litigators won a jury verdict in favor of Efans Trading Corporation and Unicorn Tire Corporation in a high-profile civil forfeiture case involving the export of high-end luxury cars to China. Our clients ran two companies—Unicorn Tire, a tire import business, and Efans Trading Corporation, which bought and exported high-end luxury automobiles to China. In 2013, the Government seized 47 vehicles and over $3.3 million in funds based on the allegation that Efans had defrauded dealers and manufacturers, and that Unicorn had provided essential facilitation of that crime. At the February 2017 trial, because of the unusual civil forfeiture context, we had the burden of proving that our clients had not committed mail and wire fraud, as the Government alleged. Based on the evidence of dealership knowledge, lack of harm, and Claimants’ good faith belief that their business was proper, it took jurors three hours to return a verdict for our clients, answering each of 53 questions on a lengthy verdict form in our favor. We expect that this verdict will soon lead to the return of our clients’ property.

Huawei privacy class action

Defending Huawei, a Chinese mobile handset maker, in a putative class action alleging violations of the Wiretap Act, Stored Communications Act, and various state laws. The suit stems from the allegation that third-party mobile analytics software transmitted data about mobile device users’ activities to other parties without authorization.

HAECO acquisition of TIMCO Aviation

Global privacy assessment

On behalf of one of the world’s leading consumer electronics and technology companies, we completed a comprehensive global privacy audit under the laws of the United States, the European Union, and China, including an assessment of the data
collection, use, and sharing practices of numerous business units (including HR data), cross-border data transfers, and adopting a going-forward privacy governance and risk-management approach and corresponding policies and procedures.

Data breach notification requirements

Advised a global pharmaceutical company on the data breach notification requirements in more than 80 countries, following a security breach affecting employees in Europe, Asia and the Americas.

Compliance program for global energy company

Developed a compliance program for the Asia-Pacific offices of a global energy and industrial company that covers trade controls and anti-corruption laws and regulations and includes guidance on restricted party and embargoed country screening, U.S. export licensing, and recordkeeping requirements.

Newmont Mining and Sumitomo in Arbitration

Representation of a joint venture of Newmont Mining and Sumitomo in an arbitration under UNCITRAL Rules relating to the Indonesian government’s efforts to terminate an agreement regarding exploitation of copper and gold resources.

Acquisition of Global Crossing

Acquisition of Enstrom Helicopter

Represented Enstrom Helicopter in its acquisition by Chongqing Helicopter Investment Co., Ltd., a company owned by the Municipality of Chongqing, China.

Forest City Ratner Companies’ joint venture with Shanghai Greenland Group

Represented Forest City Ratner Companies in a joint venture with Shanghai Greenland Group to develop the Atlantic Yards site in Brooklyn, NY.

The Walter and Eliza Hall Institute of Medical Research Royalty Monetization

Represented The Walter and Eliza Hall Institute of Medical Research in the sale of a portion of its royalty interests in Venetoclax for up to U.S. $325 million (A$406 million), consisting of an up-front payment of U.S. $250 million and up to U.S. $75 million of additional payments upon the attainment of certain milestones, the largest royalty monetization by a non-profit institution outside the United States.

High Profile Section 337 Dispute Between U.S. Steel and the Chinese Steel Industry

Representation of Baoshan Iron & Steel Co., Ltd. in a trade secret, antitrust and false designation of origin dispute in the International Trade Commission involving processes for making Advanced High Strength Steel. In November 2016, Sturgis Sobin, Derek Ludwin, and James O’Connell were named “Litigators of the Week” by American Lawyer for an initial determination at the ITC on behalf of our client. This was the first price-fixing case in almost 40 years at the agency, terminating U.S. Steel’s antitrust claim.

Indonesian Coal-Fired Project

Advised the lenders on a 1220 MW coal-fired power project in Indonesia.

Sale of Wolfcamp Shale leasehold to Sinochem

Represented Pioneer Natural Resources in the sale of leasehold interests in Wolfcamp Shale to Sinochem.

Global Privacy Audit for Leading Consumer Electronics and Technology Companies

On behalf of one of the world’s leading consumer electronics and technology companies, we completed a comprehensive global privacy audit under the laws of the United States, the European Union, and China, including an assessment of the data collection, use, and sharing practices of numerous business units (including HR data), cross-border data transfers, and adopting a going-forward privacy governance and risk-management approach and corresponding policies and procedures.

Advised the Haddad Apparel Group, manufacturer and distributor of Nike, Levi’s, Jordan and Converse branded children’s apparel and accessories, in a collaboration with a Chinese entity to develop, manufacture and distribute “ROOKIE USA” branded children’s apparel.

Global regulatory and legislative support

A global air cargo company wanted to enhance its political influence as a respected industry voice on public policy issues in order to advance its global business objectives. We helped the company resolve difficult regulatory disputes in several countries, including a fast-moving dispute in China that endangered its business model. We also achieved legislative success for the company in the U.S. Congress on defense policy matters in the authorization bill (NDAA).

Outbound patent litigation

Defending a Korean memory chip maker in its suit involving seven patents relating to semiconductor manufacturing processes. As a result of our aggressive and strategic approach, the case settled well prior to trial on very favorable terms to our client.

Production counsel for Keanu Reeves’s directorial debut, "Man of Tai Chi," a co-production involving Village Roadshow Entertainment Group Asia and China Film Group, which was picked up for release by Universal.

Health privacy to pharma companies in China

Advised a multinational biopharmaceutical company operating in China on privacy and property ownership issues related to the collection and sharing of biological samples in clinical trials.

Represented Singtel in its $810 million acquisition of Trustwave Holdings, Inc.

Resolving disputes

Assisted a Korean state company involved in legal battles and protracted negotiations over a multi-billion dollar project development. When negotiations failed and parties refused to turn up to the table, Covington stepped in to help the company reconvene the parties and move forward on negotiating an amicable resolution.

President Trump has issued an Executive Order (“the Order”), effective September 21, 2017, imposing additional sanctions on persons doing business in certain sectors of the North Korean economy or engaging in certain trade or financial activities involving North Korea. President Trump issued the Order in response to North Korea’s recent intercontinental ...

On August 31, 2017, China’s National Information Security Standardization Technical Committee (“NISSTC”), a standard-setting committee jointly supervised by the Standardization Administration of China (“SAC”) and the Cyberspace Administration of China (“CAC”), released an updated draft of the Information Security Technology - Guidelines for Data Cross-Border ...

WASHINGTON—The American Lawyer honored Covington with two Global Legal Awards, recognizing the firm’s success in “navigating complex international legal issues.” The firm was recognized for “Global M&A Deal of the Year: Japan” and “Global Dispute of the Year: Investigations (Asia).”
Covington advised Tencent Holdings Limited, a leading provider of internet ...

Roger Zakheim is quoted in a CNN article regarding President Trump's authority to take military action against North Korea. "The Constitution gives tremendous authority for the president of [the] United States to act on his own," says Zakheim. "Both in terms of constitutional law and in practice, for the President to take military action there's a lot of ...

Congress has passed and sent to President Trump, for his signature or veto, a bill that would
impose significant new sanctions against Russia, Iran, and North Korea. The legislation—the
Countering America’s Adversaries Through Sanctions Act—enjoys broad bipartisan support,
having passed the U.S. House of Representatives on July 25 by a vote of 419-3, and the ...

On June 16, 2017, China’s Ministry of Commerce (MOFCOM) released for public comment a draft of the Export Control Law (“the Draft Law”). While China has a number of regulations relating to export controls and has signed numerous nonproliferation agreements, the Draft Law would be China’s first law specifically addressing export controls and would implement an export controls system that protects China’s national security and consolidates its nonproliferation efforts. This new law, if enacted as drafted, would bring China’s system somewhat closer to other export control regimes, although certain provisions are still inconsistent with the approach of other jurisdictions. The Draft Law also introduces new restrictions on the provision of “export control-related” information” outside of China, highlighting the government’s desire to tighten the control of cross-border transfers of technical data related to controlled items. The Draft Law is expected to be introduced to the National People’s Congress for a first reading in 2018.

On July 11, 2017, the Cyberspace Administration of China (CAC) released the draft Regulation for the Protection of the Critical Information Infrastructure (“Draft Regulation”) for public comment (official Chinese version available here). The comment period ends on August 10, 2017.

Medtech Insight references an Inside Medical Devices blog post in an article regarding the impact of China's draft circulars on medical device manufacturers. According to Covington's post, the four proposals represent important reforms to the existing drug and medical device regulatory regimes, and are intended to reduce obstacles that have delayed the launch of ...

Pursuant to the State Council’s directive to build harmonious labor relationships and to strengthen the system for resolving labor disputes, the Ministry of Human Resources and Social Security (MOHRSS) recently revised two sets of arbitration rules. The revisions address new issues and provide clarification of existing regulations. The key objectives are to streamline the dispute settlement process and provide more effective and efficient mechanisms for resolving labor and personnel disputes. These rules will apply to both foreign-invested and domestic companies with employees in the People’s Republic of China.

Yan Luo is quoted by The Hill in an article regarding some of the uncertainties surrounding China's new Cybersecurity Law. Under the new law, cross-border data transfers for operators of "critical information infrastructure" are subject to security reviews and restrictions. According to Luo, "We don’t really have a definition of critical information ...

Timothy Stratford appeared on Bloomberg Markets: Asia to discuss the U.S.-China trade relationship and what the "100-Day Plan" on trade means for both countries. Although Stratford believes people are encouraged by the Mar-a-Lago summit, he says that it is "important to recognize… that there is very likely going to be a significant call on the United States for ...

Timothy Stratford appeared on Bloomberg Markets: Asia to discuss China's "Belt & Road" initiative focused on infrastructure development and U.S. trade relationships. According to Stratford, "I think the basic idea of a 'Belt & Road' is a very positive idea. I think that we have parts of the globe that are really not well integrated into the global trading system ...

Shaoyu "Andrew" Chen is quoted in a Bloomberg Law article regarding the latest series of announcements from China's Food and Drug Administration on accelerating drug and medical device approvals. According to Chen, “The four documents proposed many critical policies that will bring China much closer to Western countries in the regulatory oversight of drugs and ...

On May 19, 2017, the Cyberspace Administration of China (“CAC”) invited international stakeholders to attend a seminar to discuss an updated version of the Measures on Security Assessment of Cross-border Data Transfer of Personal Information and Important Data (“the Measures”). Given that the Measures have an intended effective date of June 1, 2017, it is likely that they are in final form and the framework established by the Measures will govern China’s cross border data transfers going forward. This alert summarizes the key changes from the previous version.

Robert Wang is quoted by Xinhua in an article regarding the historically high amount of Foreign Direct Investment between China and the U.S. Citing the initial results of a 100-day action plan for China-U.S. comprehensive economic dialogue, Wang says there is a lot of optimism injected to the U.S.-China relations in recent months. Wang believes that it is ...

On April 13, 2017, China’s State Cryptography Administration (“SCA”) published a draft Encryption Law (“the draft Law”) for public comment.

After several years of drafting, the draft Law, if enacted as drafted, would be the first Chinese statute to systematically address encryption, covering “the research, production, management, import and export, testing, authentication, use, and regulation of encryption.” China has long regulated the import, export, sale, use, and scientific research of “commercial” encryption. The draft Law, however, provides rules for three categories of encryption—“ordinary” encryption, “core” encryption, and “commercial” encryption—with a view to establishing a uniform regulatory framework that would govern all types of encryption and providing SCA with greater enforcement authority.

Graham Vinter is quoted in an Africa Capital Digest article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Johannesburg and Dubai. “The team’s reputation in project finance is absolutely first class, and we are delighted with their decision to join the firm,” says Vintner. “Not ...

Timothy Hester and Graham Vinter are quoted in an African Law & Business article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Johannesburg and Dubai. According to Hester, the additions are “a natural progression of our strategy to build a leading projects practice.” He adds ...

On May 2, 2017, the Cyberspace Administration of China (“CAC”) released the final version of the Measures on the Security Review of Network Products and Services (Trial) (“the Measures”), with an effective date of June 1, 2017 (official Chinese version available here). The issuance of the Measures marks a critical first step toward implementing China’s Cybersecurity Law (“the Law”), which was promulgated on November 7, 2016 and will take effect on June 1, 2017 (the same date as the Measures).

Peter Lichtenbaum and Fred Levy are quoted in a Federal Contracts Report article regarding the dispute, which is on appeal in the Fourth Circuit, between South Korea and BAE following the failure to finalize a deal to upgrade the F-16 jet. According to Lichtenbaum, the contracting community would expect the Fourth Circuit not to enforce the BAE-South Korea ...

Timothy Hester is quoted in an American Lawyer article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Dubai and Johannesburg. According to Hester, the firm’s Chadbourne recruits in Dubai and Johannesburg will create a bridge between Covington’s outposts in Africa, Asia, Europe ...

Graham Vinter is quoted in an IJ Global article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Dubai and Johannesburg. According to Vinter, “We already have strong ties in the Middle East and North Africa region and want to be at the table when countries in that region launch ...

Timothy Hester and Graham Vinter are quoted by The Lawyer in an article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Dubai and Johannesburg. According to Hester, “We have been looking to build our project finance team for a long time." He adds, "This group became available to ...

Timothy Hester is quoted in a Legal Week article regarding the expansion of Covington's Project Finance practice with the arrival of four new partners and the opening of offices in Dubai and Johannesburg. According to Hester, “We have been focused on building our project finance capabilities for many years, and these opportunities fit very well with that ...

On April 26, 2017, the U.S.-based solar manufacturer Suniva, Inc. filed a petition for global safeguards with the U.S. International Trade Commission (“ITC”). In particular, Suniva requests the imposition of tariffs on solar cells and the establishment of a minimum price for solar modules imported into the United States. The petition was filed under Section 201 of the Trade Act of 1974, as amended, which authorizes global safeguards investigations, also known as “escape clause” investigations. Throughout the proceedings, affected parties will have multiple opportunities to submit their views not only to the ITC but also to the Trump Administration, which will have the final say on any relief recommended by the ITC.

LONDON—Covington significantly expanded its Project Development and Finance practice with the addition of Ben Donovan, Agnieszka Klich, Richard Keenan, and David Miles, and the firm’s Middle East regional capabilities in corporate and dispute resolution matters with the addition of Jack Greenwald. With these additions, the firm also opened offices in Dubai and ...

On April 11, 2017, the Cyberspace Administration of China (“CAC”) released a draft of the Measures on Security Assessment of Cross-border Data Transfer of Personal Information and Important Data (“the Draft Measures”) for public comment (official Chinese version available here; Covington’s translation of the Draft Measures is appended at the end of this alert).

Timothy Stratford is quoted in a South China Morning Post article regarding plans between China and the U.S. to tackle trade disputes over a three month period. According to Stratford, concrete results such as greater China access for U.S. companies could be short-lived and reversed if relations soured. One option for attaining something of far-reaching ...

On March 17, 2017, the China Food and Drug Administration (“CFDA”) released a notice to seek public comments on four proposed adjustments to China’s drug registration requirements (“Proposed Adjustments”) that will remove some barriers to applications for clinical trials and drug registrations of imported drugs (drugs that are manufactured outside of China). The Proposed Adjustments could substantially impact the strategies for bringing imported drugs to China. Imported drug manufacturers should understand the potential impact of the Proposed Adjustments, consider submitting comments, and closely monitor future developments in this area. Comments are due on April 20, 2017.

Timothy Stratford participated in a discussion hosted by CGTN’s “The Point” and is quoted in a Global Times article providing highlights from the event, “Follow the Money 2017.” Commenting on President Trump’s Trade Agenda for 2017 and the need for freer and fairer trade, Stratford says, “I think, ideally, you have to have both of them. And you can only have ...

Following President Trump’s call to China’s President Xi Jinping on February 9, it appeared that U.S.-China tensions, particularly over U.S. policy vis-à-vis Taiwan, had abated for the time being. Trump reaffirmed the U.S. “One China Policy” during the call, and Beijing celebrated that they were able to get Trump back on track on this issue...… Continue Reading

Timothy Stratford participated in a discussion hosted by CGTN’s “The Point” on the future of China’s international economic role. Commenting on President Trump’s trade agenda which calls for freer and fairer trade, Stratford says, “I think ideally you have to have both of them. And you can only have a sustainable relationship if you have both of them.” He adds, ...

Compliance Week references a Covington client alert on China’s draft regulation on cybersecurity review of network products and services. According to the alert, “As the draft measures come into force in the coming months, such companies will need to carefully assess the implications of the draft measures, including whether to voluntarily seek security reviews ...

The Fraud Section of the U.S. Department of Justice (“DOJ”) quietly released new guidance last month entitled “Evaluation of Corporate Compliance Programs” (the “Guidance”). While noting that “the Fraud Section does not use any rigid formula to assess the effectiveness of corporate compliance programs,” the eight-page Guidance outlines 11 “Sample Topics and Questions” that DOJ “has frequently found relevant in evaluating a corporate compliance program” in the context of a criminal investigation.

WASHINGTON—Covington represented semiconductor manufacturer Intersil Corporation in its $3.2 billion sale to Japan’s Renesas Electronics Corporation. The firm advised Intersil on aspects of the transaction involving Committee on Foreign Investment in the United States (CFIUS), Foreign Ownership, Control, or Influence (FOCI), trade controls, and government ...

China Daily highlights Covington’s client alert, CFIUS and Foreign Direct Investment Under President Donald Trump, in an article regarding efforts by lawmakers to strengthen the government’s scrutiny of Chinese investment in the U.S. According to the CFIUS Practice Group alert, "while the legislative landscape in the new Congress is still being defined, there is ...

The Wall Street Journal highlights Covington’s client alert, CFIUS and Foreign Direct Investment Under President Donald Trump, in an article regarding efforts by lawmakers to strengthen the government’s scrutiny of Chinese investment in the U.S. According to the CFIUS Practice Group alert, there is "a greater chance now than at any time in the last decade of ...

Eric Carlson is quoted in a Financial Times article regarding an initiative by the Chinese Government to reduce marked-up prices and corruption in multi-tier distribution chains of pharmaceuticals, known as the “two invoice reform.” According to Carlson, the crackdown on small distributors would accelerate sector consolidation, “centralising distribution in a ...

On February 4, 2017, the Cyberspace Administration of China (“CAC”) released the draft Measures on the Security Review of Network Products and Services (“the draft Measures”) for public comment (official Chinese version available here; Covington’s translation of the draft Measures is here). The comment period ends on March 4, 2017.

Anti-corruption enforcement is at a crossroads. In many respects, global anti-corruption enforcement has never been more active. The U.S. Department of Justice (“DOJ”) and the U.S. Securities and Exchange Commission (“SEC”) in 2016 collected a total of $2.41 billion through FCPA enforcement actions against 27 corporate defendants, including through their share ...

John Veroneau is quoted by The Washington Post in an article regarding President Trump’s decision to withdraw from the Trans-Pacific Partnership (TPP). According to Veroneau, the Trump administration could still pursue bilateral deals with individual countries, particularly Japan and Vietnam, that mirror the deals negotiated under the TPP. But he pointed out ...

On January 9, 2017, eight Chinese ministries announced a significant new policy that aims to reduce marked-up prices and corruption in multi-tier distribution chains. The policy effectively requires that under most circumstances, at most two invoices may be issued throughout the distribution chain, with one from the manufacturer to a distributor and another from the distributor to the end hospital. The policy applies only to drugs, but some provinces reportedly have been implementing similar policies for medical devices.

The Litigation Daily highlights a recent client alert on competition law enforcement trends by Johan Ysewyn, Thomas Barnett, and Deborah Garza. Under President Trump, Covington lawyers "expect enforcement policy to shift back to a more traditional conservative approach similar to that of the George W. Bush administration. We will also be watching the extent to ...

2016 was another year of active enforcement globally. It was also a year of big changes of uncertain impact. June saw the dramatic vote by the United Kingdom to withdraw from the European Union—a development which we do not expect will have concrete antitrust implications in 2017, given that the UK government has not yet formally started the “Brexit process,” which is expected to commence by this summer. In November, the United States elected a new President—one who ran a non-traditional, “outsiders” campaign that, among other things, raised questions about the U.S.’s continued commitment to free trade and sounded a populist alarm about consolidation in media.

This Alert provides a look back at certain major developments in 2016 and our view of what to look for in 2017.

South China Morning Post references a Law360 article by John Veroneau and Catherine Gibson uncovering Section 338 of the Trade Act of 1930 which gives the president the ability to impose tariffs of up to 50 per cent and then, if escalation was required, block imports completely.

South China Morning Post highlights the re-discovery of Section 338 of the Trade Act of 1930 by John Veroneau and Catherine Gibson in an article regarding Donald Trump’s ability to affect trade with China.

Late last week, a group of technology industry leaders, researchers, and former policymakers comprising the President’s Council on Science and Technology (“PCAST”) issued a report entitled Ensuring Long-Term U.S. Leadership in Semiconductors. The report concludes that China is seeking to reshape the global semiconductor industry in a manner that threatens U.S. leadership in that sector. Given the criticality of the semiconductor industry to U.S. national security, the report recommends a three-part strategy to (1) counter Chinese policy actions, (2) improve the business environment for U.S. semiconductor companies, and (3) help “catalyze transformative semiconductor innovation over the next decade.”

Cross-Strait Relations In her year-end press conference on December 31, 2016, Taiwan President Tsai Ing-wen focused on her administration’s domestic policy agenda but also noted Beijing’s increasing pressure on Taiwan since she took office on May 20. Beijing has cut off high-level communications between the two sides (while maintaining ties with the former KMT ...

On December 29, 2016, General Cable Corporation (“GCC”), a global manufacturer of wire and cable products, agreed to pay approximately $75.8 million in connection with a non-prosecution agreement with the Department of Justice (“DOJ”) and a cease and desist order with the U.S. Securities and Exchange Commission (“SEC”) to settle allegations that it violated the anti-bribery, books and records, and internal controls provisions of the U.S. Foreign Corrupt Practices Act (“FCPA”). The settlement, which includes an admission of factual allegations but no criminal charges, requires GCC to pay a criminal penalty of $20.5 million to the DOJ and $55.3 million in disgorgement and pre-judgment interest to the SEC.

BEIJING—Asian Legal Business has named Covington partner Ruixue Ran as one of its fifteen “Top IP Lawyers” in China. Ms. Ran is the only lawyer from a non-Chinese law firm on the list.
Ms. Ran is one of the few Chinese lawyers who specialize in cross-border intellectual property law and is often called upon to share her knowledge with Chinese companies and ...

Law360 selected Shara Aranoff as a 2016 International Trade MVP and profiled her work over the past year, including her representation of South32 and Union Pacific Railroad Co. at the ITC. Law360 also highlights Aranoff’s ongoing defense of China’s Baosteel Group in a Section 337 case, the first antitrust-based investigation at the ITC in more than 25 ...

In October 2014, the Nagoya Protocol entered into force. It created a new international regulatory system affecting all life science companies that conduct R&D on biological material such as animals, seeds, flowers, viruses, fragrances, flavonoids, essential oils, enzymes, yeasts, and so on. So far, compliance by companies is progressing slowly due to unawareness of the regime and uncertainty over its requirements.

Acting on the recommendation of the Committee on Foreign Investment in the United States (“CFIUS”), President Barack Obama issued an Executive Order on Friday, December 2, prohibiting the acquisition of the U.S. business of Aixtron SE (“Aixtron”) by a company ultimately owned by investors in China. This is the first time that a President formally has utilized the authority of the CFIUS statute to block a foreign acquisition prior to consummation of the transaction.

Uncertainty surrounding the policies of the new administration is felt across industries. In particular, U.S. and Israeli defense industries are anxious for details of a ten-year, $38.8 billion military assistance package that was signed in Washington this past September. Whether the terms of the aid package are upended entirely or left mostly unchanged by ...

David Fagan is quoted in a CFR Backgrounders article regarding foreign investments and U.S. national security. Commenting on the CFIUS review process, Fagan says, “It’s like a full physical, performed by a battery of doctors that run every conceivable test.”

Robert Kelner is quoted in a Bloomberg article regarding President-elect Donald Trump’s business ties to Jose E.B. Antonio, chief executive and controlling stakeholder of Century Properties and special government envoy to the U.S. for Philippine President Rodrigo Duterte, and the potential for conflicts of interest stemming from this relationship. According to ...

Sturgis Sobin, Derek Ludwin, and James O’Connell were named “Litigators of the Week” by The Litigation Daily for an initial determination at the ITC on behalf of Baosteel in the first price-fixing case in almost 40 years at the agency, terminating U.S. Steel’s antitrust claim. According to Sobin, the argument was as much about educating the judge about the ...

On November 7, the Standing Committee of China’s National People’s Congress (“NPC”) passed China’s first Cybersecurity Law (the “Law”), which will take effect starting June 1, 2017.

Described as China’s “fundamental law” in the area of cybersecurity, the new Law articulates the government’s priorities with respect to “cyberspace sovereignty,” consolidates existing network security-related requirements (covering both cyber and physical aspects of networks), and grants government agencies greater power to regulate cyber activities. It is the first Chinese law that systematically lays out the regulatory requirements on cybersecurity, subjecting many previously under-regulated or unregulated activities in cyberspace to government scrutiny. At the same time, it seeks to balance the dual goals of enhancing cybersecurity and developing China’s digital economy, which relies heavily on the free flow of data.

With its broad application, the new Law will have significant and long-lasting implications for companies operating in China or seeking to access the Chinese market. This alert highlights key features of the Law and explains these implications.

John Balzano participated in an FDAnews webinar and is quoted in an article regarding China FDA’s proposed expanded requirements for medical device recalls and higher fines for manufacturers that fail to issue recalls. According to Balzano, to be eligible for the accelerated pathway for breakthrough medical devices, the intellectual property for the device needs ...

Witney Schneidman participated in a panel at the IGD Fall Frontier 100 Forum and is quoted in an article providing highlights of the discussion on Chinese investment in Africa. According to Schneidman, “We cannot afford to see African market as a zero-sum proposition.” He added that global investors must ensure that “Africa has the access to the best global ...

Simultaneous with last Friday’s announcement of these changes, President Obama issued a Presidential Policy Directive that outlines a policy of “normalization” as to U.S.-Cuba relations. The directive states that the embargo — elements of which remain in place — is “outdated” and renews calls for Congress to lift the remaining restrictions.

WASHINGTON—Robert Wang has joined Covington as a Senior Policy Advisor in the Public Policy and Government Affairs practice resident in Washington.
Mr. Wang previously worked at the U.S. Department of State as a career Foreign Service Officer for more than 30 years, with postings in Mainland China (Beijing and Shanghai), Japan, Singapore, Hong Kong and Taiwan, ...

Eric Carlson is quoted in an FCPA Report article regarding China’s data privacy and cybersecurity laws and how they apply to companies doing business in China. Commenting on performing due diligence while avoiding data privacy issues, Carlson says, “For due diligence purposes, it is still safe and appropriate to gather corporate information such as whether a ...

At his meeting with visiting Myanmar (Burma) State Counselor Aung San Suu Kyi on September 14, President Obama announced that he intends to issue a new Executive Order that will generally remove longstanding U.S. sanctions on Burma. Given further progress in Myanmar’s transition to a democracy, he argued that “it is the right thing to...… Continue Reading

SHANGHAI—China Law & Practice has named Covington as “Regulatory & Compliance Firm of the Year” at its annual award ceremony. The leading Chinese legal publication also recognized Shanghai partner Eric Carlson as “Regulatory & Compliance Lawyer of the Year” and the firm for its role in the “Outbound Deal of the Year,” China National Tire & Rubber’s $7.8 billion ...

John Balzano participated in an FDAnews webinar and is quoted in an International Devices & Diagnostics Monitor article regarding China’s changing device regulations. According to Balzano, "Overall, they're going to want to make sure that they have a regulatory structure in place that facilitates the most innovative applications and the applications for devices ...

Is Africa becoming a strategic priority for Japan? The Sixth Tokyo International Conference on African Development (TICAD VI), held in Nairobi, Kenya August 27-28, suggests that Japan is looking at Africa differently than in the past. For one, the five previous TICADs have been held in Japan; this is the first to be convened on...… Continue Reading

Timothy Stratford participated in a panel discussion at the FutureChina Global Forum and is quoted in this Straits Times article regarding the growing appetite of the Chinese middle class for consumption despite fears of a spending slowdown. Noting the sky-rocketing growth of Chinese outbound investment, Stratford said that between 2002 and 2007, Chinese ...

WASHINGTON—Covington has formed an enhanced team of lawyers and advisors to provide cybersecurity incident response services to clients, highlighted by Stephen Surdu, who formerly led the professional services group of Mandiant, joining the team as a Senior Cybersecurity Advisor.
Through the formation of the Cybersecurity Incident Response Team with members on ...

On July 11, 2016, Johnson Controls, Inc. (“JCI”) agreed to pay $14.4 million to settle allegations by the U.S. Securities and Exchange Commission that JCI, through its subsidiaries in China, violated the books and records and internal controls provisions of the U.S. Foreign Corrupt Practices Act. The SEC alleged that, from 2007 to 2013, nearly all of the ...

The UK has voted to leave the European Union in an advisory referendum. 52% leave - 48% remain.
Were the UK to leave the EU, this would have significant implications for the UK and for international businesses operating in the UK. The longer term impact of the decision on the regulatory framework for the UK will depend, in part, on the relationship that the UK ...

China amended its Population and Family Planning Law in December 2015. It abolished the one-child policy and eliminated incentives for late marriage and late parenthood. Many provinces are announcing changes to local regulations to comply with the national amendment.

On April 5, 2016, the United States Department of Justice (“DOJ”), through the Criminal Division’s Fraud Section, announced a one-year Foreign Corrupt Practices Act (“FCPA”) enforcement pilot program (the “Pilot Program”) intended to motivate companies to voluntarily disclose FCPA-related misconduct and increase transparency around the Fraud Section’s approach to mitigation credit in corporate FCPA resolutions.

On April 18, 2016, the Chinese government released a judicial interpretation that clarifies certain aspects of the PRC Criminal Law with regard to bribery and corruption. The Interpretation provides additional clarity in understanding the amendments to the Criminal Law that took effect last year, most notably by (1) expanding the definition of bribes to include certain intangible benefits, (2) clarifying that gifts of money or property will still be viewed as bribes when given after benefits are received, (3) re-establishing monetary thresholds and standards for bribery prosecutions, including raising the thresholds for bribes involving government officials and non-government officials, and (4) providing additional details on the requirements for leniency and voluntary disclosure.

On April 7, 2016, Las Vegas Sands Corp. (“LVSC”) agreed to pay $9 million to settle allegations by the Securities and Exchange Commission (“SEC”) that LVSC, through its subsidiaries in China and Macao, violated the US Foreign Corrupt Practices Act (“FCPA”). The settlement resolves allegations that, from 2006 through at least 2011, LVSC and its subsidiaries violated the FCPA by failing to devise and maintain a system of internal accounting controls over its operations in China and Macao, resulting in more than $62 million being transferred to a Chinese consultant (the “Consultant”) who claimed to be a former Chinese government official. Only in 2007, after LVSC had made several payments to the Consultant, did it conduct due diligence on the Consultant and three of his business units. However, LVSC failed to conduct due diligence on at least seven other of the Consultant’s businesses to which LVSC transferred funds. The payments made to the Consultant were made for a series of transactions ostensibly designed to bring more customers to LVSC’s Macao-based casino as well as to boost its image in China.

This article describes the attorney-client privilege under U.S. law and where care must be taken during internal investigations in China to maintain the privilege and avoid inadvertently waiving its protections.

SAN FRANCISCO — The Asian Americans Advancing Justice-Asian Law Caucus (ALC) will be recognizing Covington as the 2016 Pro Bono honoree at its 44th Anniversary dinner on May 5th. The firm is being honored for its work on Omar v. Kerry, a case involving Mosed Shaye Omar, a U.S. citizen whose passport was illegally revoked by the U.S. Embassy in Yemen. The ...

On March 23, 2016, Novartis AG (“Novartis”) agreed to pay $25 million to settle civil charges with the Securities and Exchange Commission (“SEC”) alleging that it violated the Foreign Corrupt Practices Act (the “FCPA”) by paying bribes to healthcare professionals (“HCPs”) in China from 2009 to 2013 to increase sales. Employees and managers of its two China-based subsidiaries attempted to hide the improper payments by using complicit third party agents and by improperly recording them as legitimate expenses for travel and entertainment, conferences, educational events, and medical studies. These books and records were later consolidated into the financial reports of Novartis, which is listed on the New York Stock Exchange. This conduct resulted in violations of the books and records and internal accounting controls provisions of the FCPA.

Disappointment is the sentiment most expressed towards results of the February 26-27 meeting of G20 Finance Ministers and Central Bank Governors in Shanghai. One former UK official calls G20 meetings a “damp squib” — no idea what that means, but it sounds about right. Despite rising panic by the IMF, OECD and others about the...… Continue Reading

On March 1, 2016, the Securities and Exchange Commission announced an agreement with Qualcomm Incorporated to settle charges that it violated the Foreign Corrupt Practices Act by hiring relatives of Chinese government officials to gain business advantages in the Chinese telecommunications market. The SEC also alleged that Qualcomm provided gifts, travels, and entertainment -- including hospitality at sporting events such as the Olympics -- to Chinese officials and their family members to try to influence these officials to adopt and retain its technologies. According to the SEC, Qualcomm misrepresented these improper benefits in its books and records as legitimate business expenses. Qualcomm agreed to pay a civil money penalty of $7.5 million to the SEC without admitting or denying the SEC findings.

Mark Plotkin is quoted in this Reuters article discussing the CFIUS approval process of Chinese acquisitions and investments. According to Plotkin, advisors will often seek to gauge their chances for CFIUS approval before the deal is announced to avoid the embarrassment and cost of announcing a deal that is later halted. He adds, “The CFIUS process is going to ...

WASHINGTON, DC - Law360 has named six Covington practice groups among its “Practice Groups of the Year.”
The practice groups recognized by Law360 are as follows:
Government Contracts
Insurance
International Trade
Life Sciences
Product Liability
Sports

On January 16, 2016, the United States and the European Union (“EU”) significantly eased their sanctions against Iran, following verification by the International Atomic Energy Agency (“IAEA”) that Iran had carried out its commitments under the Joint Comprehensive Plan of Action (“JCPOA”), the multilateral agreement signed in mid-July 2015 in which Iran agreed ...

BEIJING, December 8, 2015 - Tim Stratford, managing partner of Covington’s Beijing office, received the China Pioneer Award from the American Chamber of Commerce in the People’s Republic of China. The AmCham China Pioneer Award honors corporate leaders who made early and significant contributions to economic expansion and the business environment across ...

WASHINGTON, DC, November 18, 2015 - The Human Rights Campaign Foundation (HRC) has awarded Covington a perfect score of 100 percent for the eighth consecutive year on its Corporate Equality Index, a national benchmarking survey and report on corporate policies and practices related to LGBT workplace equality. Covington is among 400 major US businesses that ...

SEOUL, October 29, 2015 - Asian Legal Business has named Covington a finalist in three law firm categories in its annual “Korea Law Awards.” The categories include “International Law Firm of the Year,” “Intellectual Property Firm of the Year,” and “Managing Partner of the Year.”
Covington was one of the first foreign law firms to open a Seoul office in November ...

BEIJING, October 22, 2015 - Asian Legal Business has selected Covington intellectual property partner Ruixue Ran as one of the fifteen “Top Female Lawyers” in China. Ms. Ran is based in the firm’s Beijing office and is one of only three lawyers selected from non-Chinese law firms.
The annual award acknowledges the increasing influence of women in China’s ...

SHANGHAI, September 17, 2015—China Law & Practice named Covington "International Firm of the Year - Life Sciences" at its annual awards ceremony. The leading Chinese legal publication also named Hui Xu a "Rising Star" in regulatory and compliance law and recognized the firm for its role in its "Deal of the Year," Lenovo’s acquisition of IBM's server ...

In the midst of questions about how China’s economic health will impact Africa, the foreign ministers of China and South Africa have announced that the sixth Ministerial Meeting of the Forum on China-Africa Cooperation will be upgraded to a summit. Nearly a decade after the first China-Africa Leaders summit which was held in Beijing, this...… Continue Reading

When China sneezes, does all of Africa catch a cold? Slower Chinese growth and a recently devalued currency will certainly impact Africa, whose largest trading partner is China. However, the impact of China’s recent currency devaluation will largely depend on country-specific factors. The Chinese government likely devalued its currency in August in part to ...

SAN FRANCISCO, August 20, 2015 — Covington advised Tencent Holdings Ltd. on its US$50 million investment in Ontario-based Kik Interactive, Inc., a messenger application with more than 200 million registered users.
Tencent is a Chinese company that provides value-added Internet, mobile and telecom services and online advertising. Its messaging app WeChat has ...

Close on the heels of a sweeping new National Security Law, the Standing Committee of the National People’s Congress released last month for public comment a very significant draft Network Security Law (“Draft Law”), also referred to as the draft Cybersecurity Law. Since it came into power in 2012, China’s current leadership has attached an...… Continue Reading

Covington partner Ruixue Ran is featured in this article regarding her joining the firm's IP practice in Beijing:
"Ran Ruixue, who was most recently a partner at China's Jun He Law Offices, specializes in Section 337 investigations and is one of the first Chinese lawyers practicing in that area. Section 337 (of Tariff Act of 1930) investigations refer to the ...

Covington partner Ruixue Ran is featured in this article regarding her joining the firm's IP practice in Beijing:
"Ran's practice has included assisting Chinese companies that appear in litigation in United States federal and state courts and that participate in commercial IP transactions. At her prior firm, Ran advised local and international clients regarding ...

Covington partner Jeremy Wilson is quoted regarding the liberalization of Korea’s legal market:
"Marking the start of a five-year liberalisation process of its legal services sector, the move has spawned an influx of over 20 international firms opening offices in Seoul. With restrictions lifted on firms providing dual advice with domestic practices in 2013, the ...

Covington's Gary Guzy is quoted on the agreement between the U.S. and China to reduce their greenhouse gas emissions:
"Gary Guzy, senior of counsel at Covington & Burling LLP and former deputy director and general counsel of Obama’s Council on Environmental Quality, said the agreement was "enormously significant."
"There has been significant difficulty in ...

Tim Stratford authored this article on China’s tightly regulated health care sector:
"The Chinese government has announced the launch of a pilot scheme allowing for the establishment of wholly foreign-owned hospitals (“WFOHs”) through greenfield investment or mergers and acquisitions in three centrally governed municipalities (Beijing, Tianjin and Shanghai), ...

Covington's Daniel Suleiman is featured in this article on Asiana Airlines Crash Investigation:
NLJ: How did the NTSB investigation unfold? What happened first?
SULEIMAN: In any NTSB investigation, the agency sends out what’s called a “go” team immediately after an incident, whether it’s a pipeline explosion or an airplane crash or a derailment. One of the ...

Covington partner Anita Stork recently argued a motion summary judgement for client Philippine Airlines, which is quoted in this article:
"Under questioning from Judge Breyer, Philippines Airlines attorney Anita Stork of Covington & Burling LLP said the airlines file the majority of their rates with the ATPCO, and the remainder are “unfiled rates within the ...

Witney Schneidman writes on how extending the African Growth and Opportunity Act will enable the U.S. to maintain a competitive edge against China in the African market in this op-ed for Roll Call:
"In the competition for African opportunities, job creation is the U.S. strategic advantage. We are not going to finance infrastructure the same way that China does, ...

Peter Trooboff was recently quoted by The Asian Lawyer on litigator Estelito Mendoza who at 84 remains the defense lawyer of choice for members of the Filipino elite facing corruption charges.
"The loyalty these clients have shown to Mendoza is due to the fact that 'this guy is just smarter than anyone else they could have working for them,' says Covington & ...

Covington's John Balzano writes on the safety issues with meat production in his blog for Forbes Asia.
"Safety issues with the meat and meat products in China are causing controversy again. Last year a group of diseased pig carcasses came floating into rivers near Shanghai, causing concern about black markets for meat spreading foodborne illnesses. This time ...

Covington's Mark Plotkin is quoted regarding a court ruling allowing a Chinese-owned company to obtain evidence on why its bid for wind farms was rejected.
“In a broad way, it does call into question the invulnerability of judicial review,” said Mark Plotkin, a partner at law firm Covington & Burling. “It shows that Congress can never legislate away the ...

Al Larson is quoted regarding the U.S.-China Bilateral investment pact.
"Laying down a starting point for the exchange of market access offers on investment between two of the globe's largest economies sends a strong message to investors that have been dissatisfied with the lack of access in China ever since the country acceded to the World Trade Organization ...

Covington's John Balzano writes on Chinese pet food regulation for Forbes.
"Long-term, all-too-frequent, and severe safety issues with pet treats and pet food coming from China have led to serious questions about the state of China’s pet food regulations. The answer to those questions may be fairly simple: China does not have a significant body of pet food ...

Covington's Marney Cheek has authored a blog post for Investment Policy Central regarding the U.S. - China Bilateral Investment treaty.
"A U.S.-China bilateral investment treaty (BIT) will serve as the cornerstone for the bilateral economic relationship between these two economic powerhouses for years to come. It puts in place important rules that protect U.S. ...

Covington partner Tim Stratford is quoted regarding visa requirements and press freedom in China. The article states:
"An apparent broadening of restrictions on the media also has the group worried. Journalist visas are becoming more difficult to get, it said, adding that a lack of information about issues such as financial data raises suspicions in the West ...

John Balzano, special counsel in Covington's food and drug practice group, writes about the regulatory enforcement of illegal sales of recycled or expired food in Chinese village markets in his latest blog post for Forbes.

WASHINGTON, DC, July 11, 2013 — Thomson Reuters has ranked Covington & Burling among the Top 20 legal advisers worldwide in completed M&A transactions in emerging markets during the first half of 2013. Covington ranked among the top 10 for deals involving China and the Asia Pacific region, and among the top 15 for deals involving Latin America. “We have made a ...

WASHINGTON, DC, March 28, 2013 — Lanny A. Breuer, most recently the Assistant Attorney General for the Criminal Division at the U.S. Department of Justice, is returning to Covington & Burling as Vice Chair of the firm.
Mr. Breuer’s practice will encompass a wide range of civil and criminal litigation matters, as well as governmental and internal investigations. ...

WASHINGTON, DC, July 23, 2008 — Covington & Burling LLP is pleased to announce that it has opened an office in Beijing. The office is the first in Asia for Covington, which also maintains offices in Brussels, London, New York, San Francisco, and Washington.
“Covington has been advising its international clients on legal and business matters in Asia for ...

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Covington & Burling LLP operates as a limited liability partnership worldwide, with the practice in England and Wales conducted by an affiliated
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and authorized and regulated by the Solicitors Regulation Authority with registration number 77071.